Issue link: http://winesandvines.uberflip.com/i/643683
C onsumption of U.S. table wine and sparkling wine in January was 2% higher in value than a year ago and also 2% higher for the most recent 12 months, according to bw166.com and Wines Vines Analytics. Vol- ume of U.S. wine increased 4% for the month and 1% for the year. Jon Moramarco, founder of bw166.com, said, "I am hearing a sentiment in the trade that things could be softening, and people want to be a little cau- tious. The people I talked to said January wasn't horrible, but it wasn't great. They are beginning to buy less." He added that the strong dol- lar, which has fluctuated around the 0.90-euro mark for the past year, encourages import competi- tion. The up-and-down U.S. stock market and weak economies around the world are all contrib- uting to a sense of caution. Consumers, however, did spend $747 million more on do- mestic wine in the past 12 months, bringing total sales to $38 billion. Volume reached 282 million cases. Off-premise sales of domestic wine accounted for $25 billion vs. $13 billion for on-premise sales, or 66% vs. 34% in market share. In terms of volume, 80% of do- mestic wine moved through off- premise and 20% on-premise. The table on this page shows the big picture of wine and cider sales in the U.S., including both domestic and imported prod- ucts. The growth for all wines was 3% during the 12 months ending Jan. 31. Sales of imported wines grew 4% in dollar value—or twice the rate of domestic sales. Cider is included in the data because its legal definition is similar to that of grape wine, being made from fermented fruit in a straightfor- ward process. The wine industry does not agree on whether cider is a direct competitor, but it is an alternative beverage for some consumers. —Jim Gordon Key Indicators U.S. Wine Sales Complete data is available at winesandvines.com/metrics METRICS 10 WINES&VINES March 2016 Off-Premise Sales MONTH January 2016 $689M January 2015 $628M 12 MONTHS January 2016 $8,535M January 2015 $7,983M MONTHLY SALES U.S. Wine Sales MONTH January 2016 $2,533M January 2015 $2,486M 12 MONTHS January 2016 $37,769M January 2015 $37,022M MONTHLY SALES 10% 2% 7% 2% Direct-to-Consumer Shipments MONTH January 2016 $86M January 2015 $75M 12 MONTHS January 2016 $1,978M January 2015 $1,818M MONTHLY SHIPMENTS 9% 15% CONSUMER EXPENDITURES ALL WINES Source: bw166.com, Wines Vines Analytics, sales of all wines on-premise and off-premise. 0 $10 $20 $30 $40 $50 $60 $ Millions Domestic Table and Sparkling & Imported Bulk Packaged Imports & All Other Wines Total Traditional Wines Cider n = 2016 n = 2015 Wine Sales Growth Slows to 2%; Imports up 4% Source: , Wines Vines Analytics. Domestic table and sparkling wine sales in multiple-outlet and convenience stores, four weeks ending Jan. 24, 2016. Source: bw166.com, Wines Vines Analytics. Domestic table and sparkling wine sales on and off premise. $ Billions $4 $3.5 $3 $2.5 Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan $ Millions $1,000 $800 $600 $400 Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Source: Wines Vines Analytics/ShipCompliant $ Millions $350 $300 $250 $200 $150 $100 $50 0 Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan 2016 2015 2014 2015 2014 2015 2016 2015 2014 2015 2016 2015